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Nike, Adidas and the importance of image

02/03/2020 · Adidas (ADS)  · Nike (NIKE) 

Mega trends Retail US

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At the 2016 Olympic Games, Nike won eight individual men’s gold medals on the track, Adidas won three and Puma two (both while carrying Usain Bolt). Adidas supported the German football team to victory in the 2014 World Cup and Nike performed the same feat four years later with France. Nike needs Serena Williams to win just one more Grand Slam to become the most successful female tennis sponsor of all time. Results matter to the world’s biggest sports brands. 

Or, as Nike puts it in its annual results, “identification with prominent and influential athletes is an important aspect of competition in this industry”. After so much success at globally broadcast sports events spanning at least 50 years, it’s hardly surprising that Nike (US: NKE) and Adidas (ETR: ADS) are the first and third most valuable apparel brands in the world, their labels are worth $32bn and $17bn respectively according to consultancy firm Brand Finance.

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